Oracle Surges 20% In September As AI, Cloud Strategy Flashes Bullish Signals

Oracle Corp's ORCL stock has been on fire, up a whopping 20% in September alone, riding the wave of the company's bold AI and cloud infrastructure moves.

CEO Safra Catz isn't worried about AI demand—her concern is supply. Catz sees AI as the next frontier, much like GPS and IoT, and has India playing a key role in Oracle's AI journey.

From cloud infrastructure partnerships with Microsoft Corp, Amazon, and Google‘s parent Alphabet to AI integration across its enterprise planning software (ERP), Oracle's no longer just the "legacy tech" company—it's powering the future.

Read Also: Oracle CloudWorld Highlights ‘AI-Driven Tech Services,’ But Revenue Growth Requires Patience: Analyst

ORCL Stock Chart Is A Bullish Signals Galore

Oracle's stock price sits at $165.95, with a string of bullish indicators lighting up the charts.

Chart created using Benzinga Pro

Let's break it down:

• Eight-day Simple Moving Average (SMA): At $165.91, Oracle’s stock shows slight buying pressure, reinforcing a bullish signal.
• 20-day SMA: A bullish spread, with the stock price comfortably above the $152.04 SMA.
• 50-day SMA: Even stronger buy signal, with Oracle’s stock price well above its $142.80 average.
• 200-day SMA: Oracle’s stock is at $165.95, while the 200-day average is at $125.24—a solid bullish trend.

Chart created using Benzinga Pro

• MACD: Oracle stock's 8.02 MACD value confirms that the momentum is firmly on the bulls' side.
• RSI: At 69.92, Oracle’s stock is knocking on the "overbought" door, which could signal a potential pullback.

Despite its overbought RSI, Oracle's AI-infused push, cloud partnerships, and strong technical indicators indicate continued bullish momentum.

However, with its valuation climbing (now 26x forward P/E), investors may want to keep an eye on overbought conditions for any short-term cooling off.

But for now, Oracle looks poised to capitalize on its AI and cloud strategy.

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